Taxamo will be appearing at PayExpo 2015 as part of the Payments Accelerator (sponsored by Neopay). This year the Payments Accelerator will showcase the brilliant start-up talent which is re-shaping payments as we know it.
Ahead of the show, which takes place on the 9th-10th June in London, Taxamo give some background for Tamebay readers on what’s happening in the Payment Service Provider space:
Intense competition and an increasingly lower barrier-to-entry for new players has led to vanilla payment processing services, primarily competing on price. In order to differentiate themselves in the crowded payments market and to offset price pressures, Payment Service Providers (PSPs) must invest more to offer new revenue-generating services to their merchants.
This week, over 2,000 key card and payment industry decision-makers descend on London for PayExpo, the UK’s largest payments event. With 60% of those attending investing over £100k on payment systems every year, and a further 30% spending a whopping £1 million, this highlights the size of the opportunity for PSPs who stand out from a crowded marketplace.
Another quiet revolution happening to online digital commerce is on foot of OECD initiatives on digital tax. New rules already introduced in the EU and soon to be introduced in other global countries mean that there is a new role emerging for PSPs to help digital merchants address these new compliance requirements. As PSPs already collect much of the information required by these merchants, they are in a prime position to play a value-add role in helping merchants achieve compliance with these new tax rules.
Digital tax solution providers, such as market leaders Taxamo, offer PSPs partnership opportunities to introduce new digital tax compliance services to online merchants. This allows PSPs to move up the value chain and generate significant extra revenue in the process. In the world of commoditised payments this is a win-win for PSPs and for merchants as it allows PSPs to give digital merchants a new value added service that is a critical and not just a ‘nice to have’.
